Samsung Aims to Boost Spending
After Reporting 11% Drop in Profit

By

Evan Ramstad

Updated July 16, 2006 8:31 a.m. ET

Samsung Electronics Co., after gaining momentum in flat-screen TVs and components during the second quarter, plans to increase spending and output over the next few months, aiming to put itself ahead of struggling competitors.

The strategy is likely to keep profit margins in Samsung's liquid crystal display division at a low level. But the company is hoping that its slumping cellphone unit will recover and boost its overall bottom...